Oil prices slide to 8-week low as US-Russia talks stir sanction uncertainty
Oil prices slid about 1% to an eight-week low on Wednesday after U.S. President Donald Trump's remarks about progress in talks with Moscow created uncertainty on whether the U.S. would impose new sanctions on Russia.
Brent crude futures fell 75 cents, or 1.1%, to settle at $66.89 a barrel, while U.S. West Texas Intermediate crude dropped 81 cents, or 1.2%, to settle at $64.35.
Those moves marked a fifth consecutive day of losses for both crude benchmarks, with Brent closing at its lowest since June 10 and WTI closing at its lowest since June 5.
Trump said on Wednesday that his special envoy Steve Witkoff made "great progress" in his meeting with Russian President Vladimir Putin, as Washington continued its preparations to impose secondary sanctions on Friday.
Trump has threatened additional sanctions on Moscow if no moves are made to end the war in Ukraine.
"Everyone agrees this war must come to a close, and we will work towards that in the days and weeks to come," Trump said, without providing further details.
Russia is the world's second-biggest producer of crude after the U.S., so any potential deal that would reduce sanctions would make it easier for Russia to export more oil.
Earlier in the day, oil prices rose after Trump issued an executive order imposing an additional 25% tariff on goods from India, saying it directly or indirectly imported Russian oil. The new import tax will go into effect 21 days after August 7.
India, along with China, is a major buyer of Russian oil.
Source : Reuters
